USDX (USD Index)
U.S. dollar index sharp upward movement reversed yesterday after Trump decided to pause tariff against Mexico. However, the index might start gaining again today after China retaliate against U.S. new tariff. Traders might want to wait until the index form either new higher swing high or lower swing low to confirm the next direction.
EUR/USD
EUR/USD closed near the 1.0339 which mean no decisive breakout and close below the level yesterday. The pair will attempt to extend the bullish movement and target the 1.0500 level. However, if the pair get rejected from 1.0339 and resume the bearish movement below previous swing low then the bearish trend will continue.
Today’s critical levels to watch:
Support: 1.0339, 1.0200, 1.0100, 1.0000
Resistance: 1.0500, 1.0650, 1.0800
GBP/USD
GBP/USD closed above the Friday’s closing level which mean the pair gained despite strength in U.S. dollar index. If there is no change to the bullish situation then the pair could continue moving upward and target 1.2625 also daily SMA 200. On the lower side, 1.2000 – 1.2200 area is the area to watch as support.
Today’s critical levels to watch:
Support: 1.2200
Resistance: 1.2625, 1.2800, 1.3000
USD/JPY
USD/JPY situation is unchanged as the pair trading sideways. The pair could either lower and retest the daily SMA 200 or continue upward and test previous consolidation range. No clear direction yet but the latest movement has printed higher swing high and higher swing low which mean the overall trend is bullish for medium-term.
Today’s critical levels to watch:
Support: 155.00, 151.80, 150.00
Resistance: 158.00
AUD/USD
AUD/USD fishing below previous swing low and closed the day above Friday’s closing level. It seems the bull managed to trap bear who sell below the swing low. If the pair could immediately move upward with strong bullish momentum then it might trigger forced buy and the pair reach the 0.6350 level. However, if the pair come under bearish pressure again then traders could expect bearish continuation to target 0.6000.
Today’s critical levels to watch:
Support: 0.6250, 0.6000
Resistance: 0.6350, 0.6500, 0.6700